Brookside Energy's FMDP Wells Show Promising Initial Production
BRK (BRK) Share Update December 2024 Wednesday 4th
Brookside Energy Announces Strong Initial Production Results for FMDP Wells
Brookside Energy Limited (ASX: BRK) has reported impressive initial production results for its Flames-Maroons Development Plan (FMDP) wells, marking a significant milestone in the company's growth strategy.
Instant Summary:
- Combined gross IP24 and IP30 rates of 4,330 BOEPD and 3,761 BOEPD.
- Liquids yields of approximately 80%.
- Successful transition to steady-state production.
- FMDP wells produced approximately 260,000 BOE during flow-back.
- Net average daily production expected to increase to 2,500 BOEPD by year-end.
Initial Production Success
Brookside Energy Limited has announced strong initial production results for its Flames-Maroons Development Plan (FMDP) wells. The four wells recorded combined gross initial production (IP) rates of 4,330 barrels of oil equivalent per day (BOEPD) over 24 hours (IP24) and 3,761 BOEPD over 30 days (IP30), with liquids yields of approximately 80%.
These results are normalized to a single well with a 10,000-foot completed lateral, delivering approximately 1,400 BOEPD for IP24 and 1,200 BOEPD for IP30. These outcomes are comparable to the parent Flames Well, indicating consistent performance across the development plan.
Transition to Steady-State
During the flow-back period, the FMDP wells collectively produced approximately 260,000 BOE gross. Following this phase, the wells transitioned smoothly to steady-state operations, marking the completion of flow optimization.
The FMDP, completed in September 2024, represents a significant step in Brookside's growth strategy, increasing the company's inventory of producing wells at its SWISH Project to eight. The new wells target the productive Sycamore Lime and Woodford Shale formations in the SCOOP area of the Anadarko Basin.
The strong initial production results from the FMDP wells are likely to positively impact Brookside Energy's stock price. The successful transition to steady-state production and the expected increase in net average daily production to 2,500 BOEPD by the end of the year underscore the company's growth potential and operational efficiency.
Investor Reaction:
Analysts are likely to view these results favorably, as they demonstrate Brookside Energy's ability to execute its development plans successfully. The increase in production capacity is expected to enhance the company's revenue and net income, potentially attracting more investor interest.
Conclusion:
Investors should consider Brookside Energy's strong production results as a positive indicator of the company's future performance. As the company continues to execute its growth strategy, monitoring further developments and production updates will be crucial for making informed investment decisions.